GSK PLC (LSE:GSK, NYSE:GSK) has raised its long-term revenue forecast, now expecting sales to exceed £40 billion by 2031, up from its previous £38 billion target.
The upgrade comes after what the company described as a "strong" financial performance in 2024, driven by the growth of its specialty medicines portfolio.
CEO Emma Walmsley highlighted the company’s progress, saying: “GSK delivered another year of excellent performance in 2024, with strong sales and core profit growth driven by accelerating momentum of our specialty medicines portfolio.”
Total sales reached £31.4 billion, up 7% at constant exchange rates. Specialty medicines, including treatments for HIV, oncology, and respiratory diseases, saw double-digit growth, with oncology sales nearly doubling.
However, vaccine revenue fell by 4%, mainly due to weaker demand for the RSV vaccine Arexvy.
GSK’s operating profit dropped by 33%, largely due to a £1.8 billion charge related to Zantac litigation.
However, core operating profit, which excludes one-off costs, rose 11%, reflecting the strong performance of key medicines.
Looking ahead to 2025, GSK expects turnover to grow between 3% and 5% and core earnings per share to rise by 6% to 8%.
The company also announced a £2 billion share buyback over the next 18 months, alongside an expected 64p per share dividend for the year.